Nexus Point backed platform Encor Group acquires Creative Zone
The acquisition comes on the back of rapid growth in the corporate service provider ('CSP') sector across the Gulf Cooperation Council ('GCC') region, and highlights Creative Zone's leading market position in providing company setup and maintenance, tax & accounting, and other value-added services to corporates and individuals in the region. This investment will enable the Company to accelerate growth in the GCC while taking advantage of the connectivity provided by Encor's services and clients in key Asian markets.
'Creative Zone is a leading CSP in the GCC, and we are excited to support Encor in its expansion to this attractive, fast-growing region,' said Kuo Chuan Kung, Managing Partner of Nexus Point.
The deal comes at a time of strong growth for Creative Zone, which has expanded its services outside of the UAE into Saudi Arabia and Qatar. To date, the Company has supported over 75,000 entrepreneurs with a comprehensive range of corporate services and business solutions. The acquisition also signals a strong commitment by Encor to continue to invest in the rapidly expanding GCC market.
'We are delighted with the acquisition of Creative Zone,' added Joe Wan, CEO of Encor. 'This transaction marks a significant step in expanding Encor's geographical reach to the strategically important GCC and unlocking cross-border business opportunities that will enable us to propel long-term growth across borders.'
Creative Zone's highly experienced management team will continue to lead the business, and support the integration ofthe Company into Encor's global platform. Lorenzo Jooris, Group CEO of Creative Zone, will become a member of Encor's Executive Leadership Team after the closing of the acquisition.
'Today's announcement represents a significant milestone for Creative Zone,' said Lorenzo, 'Encor and its investors bring considerable financial resources and operating expertise to the table, enabling us to enter an exciting new phase of our growth strategy into global markets. Our combined strengths will accelerate the growth of our business, enhancing our ability to deliver innovative solutions that meet growing demands within and beyond the GCC'
Arrow Capital, a leading financial and investment advisory firm in the UAE, was the exclusive advisor on the transaction, assisting in the structuring of the transaction, debt financing arrangement, and participating in the investment as a minority equity investor. Sumit Mehta, Managing Director at Arrow Capital, said: 'This acquisition reinforces our position as a trusted partner in the UAE's dynamic corporate services sector, and we see tremendous opportunities to expand the company's capabilities and further strengthen its market leading position.'
About Creative Zone
Creative Zone is the leading and most trusted business setup advisor in the Middle East, providing valuable support to aspiring entrepreneurs and SMEs since 2010. With an impressive track record of assisting over 75,000 businesses locally and internationally, Creative Zone has established itself as the one-stop shop for companies seeking business solutions, with services covering every aspect of business setup, from seamless licensing processes to customised value-added solutions.
About Encor
Encor is a leading corporate, trust, and fund services platform headquartered in Hong Kong.
With a strong international presence across multiple continents, Encor operates across key markets such as China, Southeast Asia, and the GCC, helping clients with their business expansion needs.
About Nexus Point
Nexus Point is an Asian private equity firm based in Hong Kong. The firm targets high-quality companies with strong growth prospects in the business services, consumer, healthcare, advanced manufacturing, and technology sectors, with an emphasis on portfolio value creation and promoting sustainability. The firm aims to invest in companies that possess strong 'franchise value', and pair its investment selection process with a focus on strategic and operational improvements to generate superior returns.
About Arrow Capital
Arrow Capital is a DFSA regulated financial and investment firm based in DIFC, Dubai. Arrow Capital specializes in investment management, wealth management and corporate finance services. The firm specializes in structuring complex buy- and sell-side mid-market transactions ranging between $50-500 million, via its extensive global network. Arrow Capital was recently acquired by Incred Group, a diversified financial services group with presence in Dubai, India, Singapore and London.
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Our productionized underwriting model, which combines technical underwriting with technology-enabled processes, is gaining traction in the marketplace, delivering value to our partners, and driving profitability for our shareholders. Looking ahead, we believe our investments in automation and analytics will accelerate our opportunity to redefine how E&S insurance for small and medium-sized businesses is underwritten and delivered.' Underwriting Results For the quarter ended June 30, 2025, gross written premiums increased 32.3% compared to the prior-year period, driven by expansion of our distribution network and increased wallet share with existing partners. Gross written premiums for casualty lines increased 56.7% year-over-year, reflecting the Company's strategic focus on expanding casualty-related products and verticals. 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Operating expenses, net of fee income, were 12.4% of net earned premiums for the quarter, reflecting increased fee income and emerging operating scale. Operating expenses were higher year-over-year due to investments made in 2024 in personnel, systems, and infrastructure in anticipation of growth opportunities and the Company's transition to becoming a public company. 'This quarter's underwriting results reflect the deliberate actions we have taken to grow and shape our business,' said Chris Schenk, President and Chief Underwriting Officer. 'We saw a meaningful increase in submissions, but we deployed capital with discipline. We achieved above-technical rates in casualty, held firm on property rates even as parts of the market began to soften, and concentrated on targeted micro-segments where we have deep expertise. By leveraging our productionized underwriting model—combining segmentation, analytics-driven pricing, and automation—we were able to deliver strong, profitable growth.' Summary of Operating Results The following table summarizes the Company's results of operations for the three and six months ended June 30, 2025 and 2024: Three Months Ended June 30, Six Months Ended June 30, ($ in thousands) 2025 2024 2025 2024 Gross written premiums $ 167,502 $ 126,614 $ 283,645 $ 208,219 Ceded written premiums (50,231 ) (41,838 ) (76,503 ) (61,187 ) Net written premiums 117,271 84,776 207,142 147,032 Net premiums earned 86,928 72,638 165,229 140,917 Fee income 1,524 191 2,084 316 Losses and loss adjustment expenses 50,412 44,128 97,274 85,174 Underwriting, acquisition and insurance expenses 28,430 24,315 53,315 47,705 Underwriting income (1) 9,610 4,386 16,724 8,354 Net investment income 11,891 5,728 19,786 10,981 Net realized and unrealized gains (losses) on investments 1,409 (4,215 ) (3,190 ) (1,828 ) Interest expense (447 ) (544 ) (894 ) (1,094 ) Other income 28 24 993 48 Other expenses (161 ) (56 ) (399 ) (110 ) Income before income taxes 22,330 5,323 33,020 16,351 Income tax expense 4,713 1,207 6,953 3,277 Net income $ 17,617 $ 4,116 $ 26,067 $ 13,074 Less: Net (loss) income attributable to non-controlling interest - General Partner (5 ) (828 ) (16 ) 374 Net income attributable to stockholders $ 17,622 $ 4,944 $ 26,083 $ 12,700 Key Metrics Adjusted net income attributable to stockholders (1) $ 17,857 $ 4,944 $ 26,400 $ 12,700 Loss ratio 58.0 % 60.8 % 58.9 % 60.4 % Expense ratio 31.0 % 33.2 % 31.0 % 33.6 % Combined ratio (3) 88.9 % 94.0 % 89.9 % 94.1 % Return on stockholders' equity (2) 14.3 % 5.9 % 10.9 % 7.7 % Adjusted return on stockholders' equity (1)(2) 14.5 % 5.9 % 11.0 % 7.7 % Diluted earnings per share $ 0.39 $ 0.14 $ 0.60 $ 0.35 Adjusted diluted earnings per share (1) $ 0.41 $ 0.14 $ 0.62 $ 0.35 Expand (1) Each of these metrics is a non-GAAP financial measure. See '—Reconciliation of non-GAAP financial measures' for a reconciliation of the non-GAAP financial measure to the most directly comparable GAAP measure. (2) For the three and six months ended June 30, 2025 and 2024, net income attributable to stockholders and adjusted net income attributable to stockholders are annualized to arrive at return on stockholders' equity and adjusted return on stockholders' equity. (3) Ratios are calculated using unrounded figures. The sum of components may differ slightly from totals shown due to rounding. Expand Gross Written Premiums The following table presents gross written premiums by product for the three and six months ended June 30, 2025 and 2024: Expense Ratio The following tables summarize the components of our expense ratio for the three and six months ended June 30, 2025 and 2024: (1) Net of fee income of $1.5 million and $0.2 million for the three months ended June 30, 2025 and 2024, respectively. (2) Ratios are calculated using unrounded figures. The sum of components may differ slightly from totals shown due to rounding. Expand Investment results The following tables summarize net investment income and net realized and unrealized gains on investments for the three and six months ended June 30, 2025 and 2024: Three Months Ended June 30, Six Months Ended June 30, ($ in thousands) 2025 2024 2025 2024 Investment income Fixed-maturity securities $ 6,460 $ 2,634 $ 12,725 $ 3,521 Short-term investments 1,154 767 1,724 2,281 Cash equivalents 475 1,612 911 3,604 Equity securities — 22 — 44 Loans to affiliates 1,543 250 1,793 501 Securities sold not yet purchased — (103 ) — (235 ) Total fixed income 9,632 5,182 17,153 9,716 Utility & Infrastructure Investments 2,422 658 2,931 1,384 Other expenses (163 ) (112 ) (298 ) (119 ) Net investment income $ 11,891 $ 5,728 $ 19,786 $ 10,981 Net realized and unrealized gains (losses) on investments $ 1,409 $ (4,215 ) $ (3,190 ) $ (1,828 ) Expand Non-GAAP Financial Measures We report our financial results in accordance with GAAP. However, we believe that certain non-GAAP financial measures provide investors in our common stock with additional useful information in evaluating our performance. Management believes that excluding certain items that are not indicative of core performance assists in evaluating our ability to generate earnings and to more readily compare these metrics between past and future periods. These non-GAAP financial measures may be different than similarly titled measures used by other companies. These non-GAAP financial measures should not be considered in isolation from, or as substitutes for, financial information prepared in accordance with GAAP. There are limitations related to the use of these non-GAAP financial measures as compared to the most directly comparable GAAP financial measures. Underwriting Income We define underwriting income as income before income taxes excluding the impact of net investment income, net realized and unrealized gains (losses) on investments, other income, interest expense, and other expenses (which include expenses related to corporate activities and expenses recorded by us in connection with the Company's initial public offering). Underwriting income is a measure of the pre-tax profitability of our underwriting operations and allows us to evaluate our underwriting performance without regard to net investment income among other things. We use this metric as we believe it gives our management and other users of our financial information useful insight into our underlying business performance. Underwriting income should not be viewed as a substitute for income before income taxes calculated in accordance with GAAP and other companies may define underwriting income differently. Underwriting income for the three and six months ended June 30, 2025 and 2024 reconciles to income before income taxes as follows: Adjusted net income attributable to stockholders (previously referred to as adjusted net income attributable to members) We define adjusted net income attributable to stockholders as net income attributable to stockholders excluding certain other non-operating expenses, which include expenses recorded by us in connection with the Company's initial public offering. We use adjusted net income attributable to stockholders as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Adjusted net income attributable to stockholders should not be viewed as a substitute for net income attributable to stockholders calculated in accordance with GAAP, and other companies may define adjusted net income differently. Adjusted net income attributable to stockholders for the three and six months ended June 30, 2025 and 2024 reconciles to net income attributable to stockholders as follows: Three Months Ended June 30, Six Months Ended June 30, ($ in thousands) 2025 2024 2025 2024 Net income attributable to stockholders $ 17,622 $ 4,944 $ 26,083 $ 12,700 Adjustments: Other non-operating expenses (1) 298 — 401 — Tax impact (63 ) — (84 ) — Adjusted net income attributable to stockholders $ 17,857 $ 4,944 $ 26,400 $ 12,700 Expand (1) In the three and six months ended June 30, 2025, other non-operating expenses includes share-based compensation expenses recorded by us related to our initial public offering. Expand Adjusted return on stockholders' equity (previously referred to as adjusted return on members' equity) We define adjusted return on stockholders' equity as adjusted net income attributable to stockholders, expressed as a percentage of average beginning and ending stockholders' equity during the period. Adjusted net income attributable to stockholders excludes the impact of certain items that may not be indicative of underlying business trends, operating results, or future outlook, net of tax impact. We use adjusted return on stockholders' equity as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Adjusted return on stockholders' equity should not be viewed as a substitute for return on stockholders' equity calculated in accordance with GAAP, and other companies may define adjusted return on stockholders' equity and adjusted net income attributable to stockholders differently. Adjusted return on stockholders' equity for the three and six months ended June 30, 2025 and 2024 reconciles to return on stockholders' equity as follows: Three Months Ended June 30, Six Months Ended June 30, ($ in thousands, except percentages) 2025 2024 2025 2024 Numerator: Adjusted net income attributable to stockholders, annualized (1) $ 71,428 $ 19,776 $ 52,800 $ 25,400 Denominator: Average stockholders' equity 493,253 334,977 478,998 329,803 Adjusted return on stockholders' equity 14.5 % 5.9 % 11.0 % 7.7 % Expand (1) For the three and six months ended June 30, 2025 and 2024, net income and adjusted net income are annualized to arrive at return on stockholders' equity and adjusted return on stockholders' equity. Expand Adjusted diluted earnings per share We define adjusted diluted earnings per share as adjusted net income available to stockholders, divided by weighted average common shares outstanding - diluted for the period. We use adjusted diluted earnings per share as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Adjusted diluted earnings per share should not be viewed as a substitute for diluted earnings per share calculated in accordance with GAAP, and other companies may define adjusted diluted earnings per share differently. Adjusted diluted earnings per share for the three and six months ended June 30, 2025 and 2024 reconciles to diluted earnings per share as follows: Conference Call Ategrity will hold a conference call to discuss this press release today, August 11, at 5:00 p.m. Eastern Time. Interested parties may access the conference call via a live webcast, which can be accessed at or by visiting the Company's Investor Relations website. Please join the webcast at least 10 minutes before the scheduled start time. A replay of the event webcast will be available on the Company's Investor Relations website approximately two hours following the call, for a period of at least 30 days. About Ategrity Specialty Insurance Company Holdings Ategrity Specialty Insurance Company Holdings is a profitable and growing specialty insurance company dedicated to providing excess and surplus ('E&S') products to small to medium-sized businesses across the United States. We have built a proprietary underwriting platform that combines sophisticated data analytics with automated and streamlined processes to efficiently serve our clients and deliver long-term value to our stockholders. The small to medium-sized business market is characterized by large volumes of small-sized policies, and we believe our competitive edge lies in our ability to offer consistent, high-speed, and low-touch interactions that our distribution partners value. This advantage stems from our technology-driven method of standardizing, simplifying, and automating our transaction process, which we call productionized underwriting. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the fact that they do not relate strictly to historical or current facts. You can identify forward-looking statements in this press release by the use of words such as 'anticipates,' 'estimates,' 'expects,' 'intends,' 'plans,' and 'believes,' and similar expressions or future or conditional verbs such as 'will,' 'should,' 'would,' 'may,' and 'could.' These forward-looking statements include, among others, statements relating to our investments in automation and analytics and their expected impact and expected profitable growth. These forward-looking statements are based on management's current expectations and assumptions about future events, which are inherently subject to uncertainties, risks, and changes in circumstances that are difficult to predict. Our actual results may differ materially from those expressed in, or implied by, the forward-looking statements included in this press release as a result of various factors, including, among others: the risks and uncertainties discussed under the caption 'Risk Factors' in our Prospectus filed pursuant to Rule 424(b)(4) filed with the Securities and Exchange Commission, (the 'SEC') on June 11, 2025 and our other filings with the SEC. Accordingly, you should read this press release completely and with the understanding that our actual future results may be materially different from what we expect. Forward-looking statements speak only as of the date of this press release. 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(Unaudited) December 31, 2024 (in thousands, except shares and par value data) Assets: Fixed maturity securities available-for-sale, at fair value (amortized cost: $415,406 in 2025 and $434,965 in 2024) $ 419,247 $ 438,752 Utility & Infrastructure Investments, at fair value (cost of $172,753 in 2025 and $216,075 in 2024) 176,332 270,242 Short-term investments 251,906 52,612 Loans to affiliates 107,501 13,501 Other invested assets 280 280 Total invested assets 955,266 775,387 Cash and cash equivalents 23,529 26,573 Due from broker 2,035 — Investment income due and accrued 6,539 5,642 Premiums receivable, net of allowance for credit losses of $6,091 in 2025 and $5,907 in 2024 89,156 53,500 Deferred policy acquisition costs, net of ceding commissions 27,583 21,552 Prepaid reinsurance premiums 6,679 3,905 Deferred income tax asset, net 10,322 9,670 Reinsurance recoverable, net of allowance for credit losses of $0 in 2025 and $0 in 2024 155,432 133,616 Receivable from affiliates, net 744 16,857 Ceded unearned premiums 73,163 68,205 Other assets 12,704 8,531 Total assets $ 1,363,152 $ 1,123,438 Liabilities, stockholders' equity and non-controlling interest: Liabilities: Reserves for unpaid losses and loss adjustment expenses 451,466 403,576 Unearned premiums 259,700 212,828 Securities sold, not yet purchased, at fair value (cost of $0 in 2025 and $932 in 2024) — 930 Payable to reinsurers 38,124 27,160 Due to broker — 9,189 Accounts payable and accrued expenses 31,067 38,061 Funds held under reinsurance treaties 1,982 2,092 Income tax payable 17,249 26,488 Other liabilities 3,391 4,307 Total liabilities 802,979 724,631 Stockholders' equity: Preferred stock, $0.001 par value, 100,000,000 shares authorized and none issued or outstanding. — — Common stock, $0.001 par value, 500,000,000 shares authorized, 48,066,674 and 38,386,433 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively. 48 38 Additional paid-in capital 495,954 360,703 Retained earnings 60,652 34,569 Accumulated other comprehensive income 3,035 2,997 Total stockholders' equity 559,689 398,307 Non-controlling interest - General Partner 484 500 Total stockholders' equity and non-controlling interest 560,173 398,807 Total liabilities, stockholders' equity and non-controlling interest $ 1,363,152 $ 1,123,438 Expand Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited) Three Months Ended June 30, Six Months Ended June 30, (in thousands, except per share amounts) Revenues Gross written premiums $ 167,502 $ 126,614 $ 283,645 $ 208,219 Ceded written premiums (50,231 ) (41,838 ) (76,503 ) (61,187 ) Net written premiums 117,271 84,776 207,142 147,032 Change in unearned premiums (30,343 ) (12,138 ) (41,913 ) (6,115 ) Net premiums earned 86,928 72,638 165,229 140,917 Fee income 1,524 191 2,084 316 Net investment income 11,891 5,728 19,786 10,981 Net realized and unrealized gains (losses) on investments 1,409 (4,215 ) (3,190 ) (1,828 ) Other income 28 24 993 48 Total revenues 101,780 74,366 184,902 150,434 Expenses Losses and loss adjustment expenses 50,412 44,128 97,274 85,174 Underwriting, acquisition and insurance expenses 28,430 24,315 53,315 47,705 Interest expense 447 544 894 1,094 Other expenses 161 56 399 110 Total expenses 79,450 69,043 151,882 134,083 Income before income taxes 22,330 5,323 33,020 16,351 Income tax expense 4,713 1,207 6,953 3,277 Net income 17,617 4,116 26,067 13,074 (5 ) (828 ) (16 ) 374 Net income attributable to stockholders 17,622 4,944 26,083 12,700 Other comprehensive income: Unrealized gains (losses), net of taxes 152 840 38 3,349 Total comprehensive income attributable to stockholders $ 17,774 $ 5,784 $ 26,121 $ 16,049 Earnings per share: Basic $ 0.40 $ 0.14 $ 0.61 $ 0.35 Diluted $ 0.39 $ 0.14 $ 0.60 $ 0.35 Weighted-average shares outstanding: Basic 42,084,982 36,242,682 41,191,609 36,235,158 Diluted 43,584,999 36,243,959 42,246,997 36,235,950 Expand
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Order books began to weaken in June, especially in Europe and China, and have continued to do so into the early stages of the third quarter. Engineered Materials reported second quarter operating profit of $165 million, adjusted EBIT of $214 million, and operating EBITDA of $326 million, with margins of 11, 15, and 23 percent, respectively. The strong business results were driven by deliberate actions taken earlier in the year to accelerate earnings improvement and offset headwinds related to a weaker demand environment and trade flow challenges. Product mix was favorable due to product positioned globally to capture available demand. Mix was also supported by continued focus on High Impact Programs (HIPs), higher margin projects that emphasize specialty product offerings. In terms of cash generation, Engineered Materials has continued to progress against the previously stated goal of reducing inventory by approximately $100 million in 2025. Cash Flow and Tax Celanese reported second quarter operating cash flow of $410 million and free cash flow of $311 million, which included cash capital expenditures of $93 million. Second quarter operating cash flow and free cash flow results were mainly driven by sequential earnings improvement and continued progress against inventory reduction goals in Engineered Materials. The effective U.S. GAAP income tax rate for the three months ended June 30, 2025 was a benefit of 57 percent compared with an expense of 16 percent for the same period in 2024. The effective income tax rate for the current period is lower compared to the same period in 2024, primarily due to a net deferred tax benefit related to the relocation of certain intangible assets among wholly owned foreign affiliates as part of continued integration of global principal operations, and a tax benefit related to the resolution of a review of prior year tax matters. Outlook Celanese expects a softening demand environment across most key end-markets in the second half of the year. The Company anticipates slowing demand will partially offset the benefits from the cost reduction actions that are expected to be realized in the third quarter. Additionally, Celanese anticipates an approximate $25 million negative sequential impact to earnings due to ongoing inventory reduction efforts. "In this low-demand environment that remains uncertain, we will continue to emphasize cash flow. While our order books are developing at a slower pace so far compared to last quarter, we remain agile and are poised to pivot our operations to align with available demand," said Scott Richardson. "Considering these dynamics, and our intention to release cash through inventory reduction, we anticipate third quarter adjusted earnings per share to be $1.10 to $1.40. Given the actions we are taking, our expectation remains to deliver $700 to $800 million of free cash flow in 2025." "This is a challenging macro, and our teams are exhibiting resilience to continually find new areas to create value," continued Richardson. "We are relentlessly focused on identifying additional actions and we continue to take steps to stabilize the business, right size our cost structure, and position our company for long-term value creation." Reconciliations of forecasted non-GAAP measures such as adjusted earnings per share, adjusted EBIT, operating EBITDA or free cash flow to the equivalent U.S. GAAP measures (diluted earnings per share, net earnings (loss) attributable to Celanese Corporation and net cash provided by (used in) operations, respectively), are not available without unreasonable efforts because a forecast of Certain Items, such as mark-to-market pension gains/losses, and other items is not practical. For more information, see "Non-GAAP Financial Measures" below. The Company's prepared remarks related to the second quarter will be posted on its website at under Financial Information/Financial Document Library on August 11, 2025. Information about Non-US GAAP measures is included in a Non-US GAAP Financial Measures and Supplemental Information document posted on our investor relations website under Financial Information/Non-GAAP Financial Measures. See also "Non-GAAP Financial Measures" below. Celanese Corporation is a global leader in chemistry, producing specialty material solutions used across most major industries and consumer applications. Our businesses use our chemistry, technology and commercial expertise to create value for our customers, employees and shareholders. We support sustainability by responsibly managing the materials we create and growing our portfolio of sustainable products to meet customer and societal demand. We strive to make a positive impact in our communities and to foster inclusivity across our teams. Celanese Corporation is a Fortune 500 company that employs more than 11,000 employees worldwide with 2024 net sales of $10.3 billion. Forward-Looking Statements This release may contain "forward-looking statements," which include information concerning the Company's plans, objectives, goals, strategies, future revenues, cash flow, financial performance, synergies, capital expenditures, deleveraging efforts, planned cost reductions, dividend policy, financing needs and other information that is not historical information. All forward-looking statements are based upon current expectations and beliefs and various assumptions. There can be no assurance that the Company will realize these expectations or that these beliefs will prove correct. There are a number of risks and uncertainties that could cause actual results to differ materially from the results expressed or implied in the forward-looking statements contained in this release. These risks and uncertainties include, among other things: the ability to successfully achieve planned cost reductions; changes in general economic, business, political and regulatory conditions in the countries or regions in which we operate; the length and depth of product and industry business cycles, particularly in the automotive, electrical, textiles, electronics and construction industries; volatility or changes in the price and availability of raw materials and energy, particularly changes in the demand for, supply of, and market prices of ethylene, methanol, natural gas, carbon monoxide, wood pulp, hexamethylene diamine, Polyamide 66 ("PA66"), polybutylene terephthalate, ethanol, natural gas and fuel oil, and the prices for electricity and other energy sources; the ability to pass increases in raw materials prices, logistics costs and other costs on to customers or otherwise improve margins through price increases; the possibility that we will not be able to realize the anticipated benefits of the Mobility & Materials business (the "M&M Business") we acquired from DuPont de Nemours, Inc. (the "M&M Acquisition"), including synergies and growth opportunities, whether as a result of difficulties arising from the operation of the M&M Business or other unanticipated delays, costs, inefficiencies or liabilities; additional impairments of goodwill or intangible assets; increased commercial, legal or regulatory complexity of entering into, or expanding our exposure to, certain end markets and geographies; risks in the global economy and equity and credit markets and their potential impact on our ability to pay down debt in the future and/or refinance at suitable rates, in a timely manner, or at all; risks and costs associated with increased leverage from the M&M Acquisition, including increased interest expense and potential reduction of business and strategic flexibility; the ability to maintain plant utilization rates and to implement planned capacity additions, expansions and maintenance; the ability to reduce or maintain current levels of production costs and to improve productivity by implementing technological improvements to existing plants; increased price competition and the introduction of competing products by other companies; the ability to identify desirable potential acquisition or divestiture opportunities and to complete such transactions, including obtaining regulatory approvals, consistent with the Company's strategy; market acceptance of our products and technology; compliance and other costs and potential disruption or interruption of production or operations due to accidents, interruptions in sources of raw materials, transportation, logistics or supply chain disruptions, cybersecurity incidents, terrorism or political unrest, public health crises, or other unforeseen events or delays in construction or operation of facilities, including as a result of geopolitical conditions, the direct or indirect consequences of acts of war or conflict (such as the Russia-Ukraine conflict or conflicts in the Middle East) or terrorist incidents or as a result of weather, natural disasters, or other crises; the ability to obtain governmental approvals and to construct facilities on terms and schedules acceptable to the Company; changes in applicable tariffs, duties and trade agreements, tax rates or legislation throughout the world including, but not limited to, anti-dumping and countervailing duties, adjustments, changes in estimates or interpretations or the resolution of tax examinations or audits that may impact recorded or future tax impacts and potential regulatory and legislative tax developments in the United States and other jurisdictions; changes in the degree of intellectual property and other legal protection afforded to our products or technologies, or the theft of such intellectual property; potential liability for remedial actions and increased costs under existing or future environmental, health and safety regulations, including those relating to climate change or other sustainability matters; potential liability resulting from pending or future claims or litigation, including investigations or enforcement actions, or from changes in the laws, regulations or policies of governments or other governmental activities, in the countries in which we operate; our level of indebtedness, which could diminish our ability to raise additional capital to fund operations or limit our ability to react to changes in the economy or the chemicals industry, and the success of our deleveraging efforts, as well as any changes to our credit ratings; changes in currency exchange rates and interest rates; tax rates and changes thereto; and various other factors discussed from time to time in the Company's filings with the Securities and Exchange Commission. Any forward-looking statement speaks only as of the date on which it is made, and the Company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date on which it is made or to reflect the occurrence of anticipated or unanticipated events or circumstances. Non-GAAP Financial Measures Presentation This document presents the Company's two business segments, Engineered Materials and the Acetyl Chain. Use of Non-US GAAP Financial Information This release uses the following Non-US GAAP measures: adjusted EBIT, adjusted EBIT margin, operating EBITDA, operating EBITDA margin, adjusted earnings per share and free cash flow. These measures are not recognized in accordance with US GAAP and should not be viewed as an alternative to US GAAP measures of performance or liquidity. The most directly comparable financial measure presented in accordance with US GAAP in our consolidated financial statements for adjusted EBIT and operating EBITDA is net earnings (loss) attributable to Celanese Corporation; for adjusted EBIT margin is operating margin; for operating EBITDA margin is operating margin; for adjusted earnings per share is earnings (loss) from continuing operations attributable to Celanese Corporation per common share-diluted; and for free cash flow is net cash provided by (used in) operations. Definitions of Non-US GAAP Financial Measures Adjusted EBIT is a performance measure used by the Company and is defined by the Company as net earnings (loss) attributable to Celanese Corporation, plus (earnings) loss from discontinued operations, less interest income, plus interest expense, plus refinancing expense and taxes, and further adjusted for Certain Items (refer to Table 8 of our Non-US GAAP Financial Measures and Supplemental Information document). We do not provide reconciliations for adjusted EBIT on a forward-looking basis (including those contained in this document) when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of Certain Items, such as mark-to-market pension gains and losses, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Adjusted EBIT margin is defined by the Company as adjusted EBIT divided by net sales. Operating EBITDA is a performance measure used by the Company and is defined by the Company as net earnings (loss) attributable to Celanese Corporation, plus (earnings) loss from discontinued operations, less interest income, plus interest expense, plus refinancing expense, taxes and depreciation and amortization, and further adjusted for Certain Items, which Certain Items include accelerated depreciation and amortization expense. Operating EBITDA is equal to adjusted EBIT plus depreciation and amortization. We do not provide reconciliations for operating EBITDA on a forward-looking basis (including those contained in this document) when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of Certain Items, such as mark-to-market pension gains and losses, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Operating EBITDA margin is defined by the Company as operating EBITDA divided by net sales. Adjusted earnings per share is a performance measure used by the Company and is defined by the Company as earnings (loss) from continuing operations attributable to Celanese Corporation, adjusted for income tax (provision) benefit, Certain Items, and refinancing and related expenses, divided by the number of basic common shares and dilutive restricted stock units and stock options calculated using the treasury method. We do not provide reconciliations for adjusted earnings per share on a forward-looking basis (including those contained in this document) when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of Certain Items, such as mark-to-market pension gains and losses, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Note: The income tax expense (benefit) on Certain Items ("Non-GAAP adjustments") is determined using the applicable rates in the taxing jurisdictions in which the Non-GAAP adjustments occurred and includes both current and deferred income tax expense (benefit). The income tax rate used for adjusted earnings per share approximates the midpoint in a range of forecasted tax rates for the year. This range may include certain partial or full-year forecasted tax opportunities and related costs, where applicable, and specifically excludes changes in uncertain tax positions, discrete recognition of GAAP items on a quarterly basis, other pre-tax items adjusted out of our GAAP earnings for adjusted earnings per share purposes and changes in management's assessments regarding the ability to realize deferred tax assets for GAAP. In determining the adjusted earnings per share tax rate, we reflect the impact of foreign tax credits when utilized, or expected to be utilized, absent discrete events impacting the timing of foreign tax credit utilization. We analyze this rate quarterly and adjust it if there is a material change in the range of forecasted tax rates; an updated forecast would not necessarily result in a change to our tax rate used for adjusted earnings per share. The adjusted tax rate is an estimate and may differ from the actual tax rate used for GAAP reporting in any given reporting period. Table 3a of our Non-US GAAP Financial Measures and Supplemental Information document summarizes the reconciliation of our estimated GAAP effective tax rate to the adjusted tax rate. The estimated GAAP rate excludes discrete recognition of GAAP items due to our inability to forecast such items. As part of the year-end reconciliation, we will update the reconciliation of the GAAP effective tax rate to the adjusted tax rate for actual results. Free cash flow is a liquidity measure used by the Company and is defined by the Company as net cash provided by (used in) operations, less capital expenditures on property, plant and equipment, and adjusted for contributions from or distributions to our noncontrolling interest joint ventures. We do not provide reconciliations for free cash flow on a forward-looking basis (including those contained in this document) when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of items such as working capital changes, fluctuations in foreign currency exchange rates, the impact and timing of potential acquisitions and divestitures, and other structural changes, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Reconciliation of Non-US GAAP Financial Measures Reconciliations of the Non-US GAAP financial measures used in this press release to the comparable US GAAP financial measure, together with information about the purposes and uses of Non-US GAAP financial measures, are included in our Non-US GAAP Financial Measures and Supplemental Information document filed as an exhibit to our Current Report on Form 8-K filed with the SEC on or about August 11, 2025 and also available on our website at under Financial Information/Financial Document Library. Results Unaudited The results in this document, together with the adjustments made to present the results on a comparable basis, have not been audited and are based on internal financial data furnished to management. Quarterly results should not be taken as an indication of the results of operations to be reported for any subsequent period or for the full fiscal year. Certain prior period amounts have been revised to correct for certain prior period immaterial errors. See Note 1 to our Quarterly Report on Form 10-Q for the quarterly period ending June 30, 2025. Supplemental Information Additional information about our prior period performance is included in our Quarterly Reports on Form 10-Q and in our Non-US GAAP Financial Measures and Supplemental Information document. Expand Consolidated Statements of Operations - Unaudited Three Months Ended June 30, 2025 March 31, 2025 June 30, 2024 (In $ millions, except share and per share data) Net sales 2,532 2,389 2,651 Cost of sales (1,997 ) (1,913 ) (2,010 ) Gross profit 535 476 641 Selling, general and administrative expenses (213 ) (230 ) (255 ) Amortization of intangible assets (42 ) (40 ) (38 ) Research and development expenses (31 ) (31 ) (33 ) Other (charges) gains, net (20 ) (31 ) (48 ) Foreign exchange gain (loss), net 6 21 (9 ) Gain (loss) on disposition of businesses and assets, net (2 ) 3 (8 ) Operating profit (loss) 233 168 250 Equity in net earnings (loss) of affiliates 29 22 51 Non-operating pension and other postretirement employee benefit (expense) income 1 2 2 Interest expense (177 ) (170 ) (174 ) Refinancing expense — (32 ) — Interest income 7 4 10 Dividend income - equity investments 41 1 31 Other income (expense), net 1 2 13 Earnings (loss) from continuing operations before tax 135 (3 ) 183 Income tax (provision) benefit 77 (9 ) (29 ) Earnings (loss) from continuing operations 212 (12 ) 154 Earnings (loss) from operation of discontinued operations (10 ) (6 ) (1 ) Income tax (provision) benefit from discontinued operations — 1 — Earnings (loss) from discontinued operations (10 ) (5 ) (1 ) Net earnings (loss) 202 (17 ) 153 Net (earnings) loss attributable to noncontrolling interests (3 ) (4 ) 2 Net earnings (loss) attributable to Celanese Corporation 199 (21 ) 155 Amounts attributable to Celanese Corporation Earnings (loss) from continuing operations 209 (16 ) 156 Earnings (loss) from discontinued operations (10 ) (5 ) (1 ) Net earnings (loss) 199 (21 ) 155 Earnings (loss) per common share - basic Continuing operations 1.91 (0.15 ) 1.43 Discontinued operations (0.09 ) (0.04 ) (0.01 ) Net earnings (loss) - basic 1.82 (0.19 ) 1.42 Earnings (loss) per common share - diluted Continuing operations 1.90 (0.15 ) 1.42 Discontinued operations (0.09 ) (0.04 ) (0.01 ) Net earnings (loss) - diluted 1.81 (0.19 ) 1.41 Weighted average shares (in millions) Basic 109.5 109.4 109.3 Diluted 109.7 109.4 109.5 Expand Consolidated Balance Sheets - Unaudited Non-US GAAP Financial Measures and Supplemental Information August 11, 2025 In this document, the terms the "Company," "we" and "our" refer to Celanese Corporation and its subsidiaries on a consolidated basis. Purpose The purpose of this document is to provide information of interest to investors, analysts and other parties including supplemental financial information and reconciliations and other information concerning our use of non-US GAAP financial measures. This document is updated quarterly. Presentation This document presents the Company's two business segments, Engineered Materials and the Acetyl Chain. Use of Non-US GAAP Financial Measures From time to time, management may publicly disclose certain numerical "non-GAAP financial measures" in the course of our earnings releases, financial presentations, earnings conference calls, investor and analyst meetings and otherwise. For these purposes, the Securities and Exchange Commission ("SEC") defines a "non-GAAP financial measure" as a numerical measure of historical or future financial performance, financial position or cash flows that excludes amounts, or is subject to adjustments that effectively exclude amounts, included in the most directly comparable measure calculated and presented in accordance with US GAAP, and vice versa for measures that include amounts, or are subject to adjustments that effectively include amounts, that are excluded from the most directly comparable US GAAP measure so calculated and presented. For these purposes, "GAAP" refers to generally accepted accounting principles in the United States. Non-GAAP financial measures disclosed by management are provided as additional information to investors, analysts and other parties because the Company believes them to be important supplemental measures for assessing our financial and operating results and as a means to evaluate our financial condition and period-to-period comparisons. These non-GAAP financial measures should be viewed as supplemental to, and should not be considered in isolation or as alternatives to, net earnings (loss), operating profit (loss), operating margin, cash flow from operating activities (together with cash flow from investing and financing activities), earnings per share or any other US GAAP financial measure. These non-GAAP financial measures should be considered within the context of our complete audited and unaudited financial results for the given period, which are available on the Financial Information/Financial Document Library page of our website, The definition and method of calculation of the non-GAAP financial measures used herein may be different from other companies' methods for calculating measures with the same or similar titles. Investors, analysts and other parties should understand how another company calculates such non-GAAP financial measures before comparing the other company's non-GAAP financial measures to any of our own. These non-GAAP financial measures may not be indicative of the historical operating results of the Company nor are they intended to be predictive or projections of future results. Pursuant to the requirements of SEC Regulation G, whenever we refer to a non-GAAP financial measure, we will also present in this document, in the presentation itself or on a Form 8-K in connection with the presentation on the Financial Information/Financial Document Library page of our website, to the extent practicable, the most directly comparable financial measure calculated and presented in accordance with GAAP, along with a reconciliation of the differences between the non-GAAP financial measure we reference and such comparable GAAP financial measure. This document includes definitions and reconciliations of non-GAAP financial measures used from time to time by the Company. Specific Measures Used This document provides information about the following non-GAAP measures: adjusted EBIT, adjusted EBIT margin, operating EBITDA, operating EBITDA margin, operating profit (loss) attributable to Celanese Corporation, adjusted earnings per share, net debt, free cash flow and return on invested capital (adjusted). The most directly comparable financial measure presented in accordance with US GAAP in our consolidated financial statements for adjusted EBIT and operating EBITDA is net earnings (loss) attributable to Celanese Corporation; for adjusted EBIT margin and operating EBITDA margin is operating margin; for operating profit (loss) attributable to Celanese Corporation is operating profit (loss); for adjusted earnings per share is earnings (loss) from continuing operations attributable to Celanese Corporation per common share-diluted; for net debt is total debt; for free cash flow is net cash provided by (used in) operations; and for return on invested capital (adjusted) is net earnings (loss) attributable to Celanese Corporation divided by the sum of the average of beginning and end of the year short- and long-term debt and Celanese Corporation shareholders' equity. Definitions Adjusted EBIT is a performance measure used by the Company and is defined by the Company as net earnings (loss) attributable to Celanese Corporation, plus (earnings) loss from discontinued operations, less interest income, plus interest expense, plus refinancing expense and taxes, and further adjusted for Certain Items (refer to Table 8). We believe that adjusted EBIT provides transparent and useful information to management, investors, analysts and other parties in evaluating and assessing our primary operating results from period-to-period after removing the impact of unusual, non-operational or restructuring-related activities that affect comparability. Our management recognizes that adjusted EBIT has inherent limitations because of the excluded items. Adjusted EBIT is one of the measures management uses for planning and budgeting, monitoring and evaluating financial and operating results and as a performance metric in the Company's incentive compensation plan. We do not provide reconciliations for adjusted EBIT on a forward-looking basis (including those contained in this document) when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of Certain Items, such as mark-to-market pension gains and losses, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Adjusted EBIT margin is defined by the Company as adjusted EBIT divided by net sales. Adjusted EBIT margin has the same uses and limitations as adjusted EBIT. Operating EBITDA is a performance measure used by the Company and is defined by the Company as net earnings (loss) attributable to Celanese Corporation, plus (earnings) loss from discontinued operations, less interest income, plus interest expense, plus refinancing expense, taxes and depreciation and amortization, and further adjusted for Certain Items, which Certain Items include accelerated depreciation and amortization expense. Operating EBITDA is equal to adjusted EBIT plus depreciation and amortization. We believe that operating EBITDA provides transparent and useful information to investors, analysts and other parties in evaluating our operating performance relative to our peer companies. We do not provide reconciliations for operating EBITDA on a forward-looking basis (including those contained in this document) when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of Certain Items, such as mark-to-market pension gains and losses, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Operating EBITDA margin is defined by the Company as operating EBITDA divided by net sales. Operating EBITDA margin has the same uses and limitations as operating EBITDA. Operating profit (loss) attributable to Celanese Corporation is defined by the Company as operating profit (loss), less earnings (loss) attributable to noncontrolling interests ("NCI"). We believe that operating profit (loss) attributable to Celanese Corporation provides transparent and useful information to management, investors, analysts and other parties in evaluating our core operational performance. Operating margin attributable to Celanese Corporation is defined by the Company as operating profit (loss) attributable to Celanese Corporation divided by net sales. Operating margin attributable to Celanese Corporation has the same uses and limitations as operating profit (loss) attributable to Celanese Corporation. Adjusted earnings per share is a performance measure used by the Company and is defined by the Company as earnings (loss) from continuing operations attributable to Celanese Corporation, adjusted for income tax (provision) benefit, Certain Items, and refinancing and related expenses, divided by the number of basic common shares and dilutive restricted stock units and stock options calculated using the treasury method. We believe that adjusted earnings per share provides transparent and useful information to management, investors, analysts and other parties in evaluating and assessing our primary operating results from period-to-period after removing the impact of the above stated items that affect comparability and as a performance metric in the Company's incentive compensation plan. We do not provide reconciliations for adjusted earnings per share on a forward-looking basis (including those contained in this document) when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of Certain Items, such as mark-to-market pension gains and losses, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Note: The income tax expense (benefit) on Certain Items ("Non-GAAP adjustments") is determined using the applicable rates in the taxing jurisdictions in which the Non-GAAP adjustments occurred and includes both current and deferred income tax expense (benefit). The income tax rate used for adjusted earnings per share approximates the midpoint in a range of forecasted tax rates for the year. This range may include certain partial or full-year forecasted tax opportunities and related costs, where applicable, and specifically excludes changes in uncertain tax positions, discrete recognition of GAAP items on a quarterly basis, other pre-tax items adjusted out of our GAAP earnings for adjusted earnings per share purposes and changes in management's assessments regarding the ability to realize deferred tax assets for GAAP. In determining the adjusted earnings per share tax rate, we reflect the impact of foreign tax credits when utilized, or expected to be utilized, absent discrete events impacting the timing of foreign tax credit utilization. We analyze this rate quarterly and adjust it if there is a material change in the range of forecasted tax rates; an updated forecast would not necessarily result in a change to our tax rate used for adjusted earnings per share. The adjusted tax rate is an estimate and may differ from the actual tax rate used for GAAP reporting in any given reporting period. Table 3a summarizes the reconciliation of our estimated GAAP effective tax rate to the adjusted tax rate. The estimated GAAP rate excludes discrete recognition of GAAP items due to our inability to forecast such items. As part of the year-end reconciliation, we will update the reconciliation of the GAAP effective tax rate to the adjusted tax rate for actual results. Free cash flow is a liquidity measure used by the Company and is defined by the Company as net cash provided by (used in) operations, less capital expenditures on property, plant and equipment, and adjusted for contributions from or distributions to our NCI joint ventures. We believe that free cash flow provides useful information to management, investors, analysts and other parties in evaluating the Company's liquidity and credit quality assessment because it provides an indication of the long-term cash generating ability of our business. Although we use free cash flow as a measure to assess the liquidity generated by our business, the use of free cash flow has important limitations, including that free cash flow does not reflect the cash requirements necessary to service our indebtedness, lease obligations, unconditional purchase obligations or pension and postretirement funding obligations. Free cash flow is not a measure of cash available for discretionary expenditures since the Company has certain debt service and finance lease payments that are not deducted from that measure. We do not provide reconciliations for free cash flow on a forward-looking basis when we are unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and amount of items such as working capital changes, fluctuations in foreign currency exchange rates, the impact and timing of potential acquisitions and divestitures, and other structural changes, that have not yet occurred, are out of our control and/or cannot be reasonably predicted. For the same reasons, we are unable to address the probable significance of the unavailable information. Net debt is defined by the Company as total debt less cash and cash equivalents. We believe that net debt provides useful information to management, investors, analysts and other parties in evaluating changes to the Company's capital structure and credit quality assessment. Return on invested capital (adjusted) is defined by the Company as adjusted EBIT, tax effected using the adjusted tax rate, divided by the sum of the average of beginning and end of the year short- and long-term debt and Celanese Corporation shareholders' equity. We believe that return on invested capital (adjusted) provides useful information to management, investors, analysts and other parties in order to assess our income generation from the point of view of our shareholders and creditors who provide us with capital in the form of equity and debt and whether capital invested in the Company yields competitive returns. Supplemental Information Supplemental Information we believe to be of interest to investors, analysts and other parties includes the following: Net sales for each of our business segments and the percentage increase or decrease in net sales attributable to price, volume, currency and other factors for each of our business segments. Cash dividends received from our equity investments. For those consolidated ventures in which the Company owns or is exposed to less than 100% of the economics, the outside shareholders' interests are shown as NCI. Amounts referred to as "attributable to Celanese Corporation" are net of any applicable NCI. Results Unaudited The results in this document, together with the adjustments made to present the results on a comparable basis, have not been audited and are based on internal financial data furnished to management. Quarterly results should not be taken as an indication of the results of operations to be reported for any subsequent period or for the full fiscal year. Certain prior period amounts have been revised to correct for certain prior period immaterial errors. See Note 1 to our Quarterly Report on Form 10-Q for the quarterly period ending June 30, 2025. Table 1 Adjusted EBIT and Operating EBITDA - Reconciliation of Non-GAAP Measures - Unaudited Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 Interest income (7 ) (4 ) (33 ) (5 ) (5 ) (10 ) (13 ) Interest expense 177 170 676 164 169 174 169 Refinancing expense — 32 — — — — — Income tax provision (benefit) (77 ) 9 507 384 61 29 33 Certain Items attributable to Celanese Corporation (Table 8) 42 43 2,009 1,696 114 102 97 Adjusted EBIT 344 234 1,636 321 457 451 407 Depreciation and amortization expense (1) 188 180 728 184 187 181 176 Operating EBITDA 532 414 2,364 505 644 632 583 Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 (In $ millions) Engineered Materials 2 — 73 1 16 11 45 Acetyl Chain — — — — — — — Other Activities (2) — — — — — — — Accelerated depreciation and amortization expense 2 — 73 1 16 11 45 Depreciation and amortization expense (1) 188 180 728 184 187 181 176 Total depreciation and amortization expense 190 180 801 185 203 192 221 Expand ______________________________ (1) Excludes accelerated depreciation and amortization expense as detailed in the table above, which amounts are included in Certain Items above. (2) Other Activities includes corporate Selling, general and administrative ("SG&A") expenses, results of captive insurance companies and certain components of net periodic benefit cost (interest cost, expected return on plan assets and net actuarial gains and losses). Expand Table 2 Supplemental Segment Data and Reconciliation of Segment Adjusted EBIT and Operating EBITDA - Non-GAAP Measures - Unaudited Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 (In $ millions, except percentages) Operating Profit (Loss) / Operating Margin Acetyl Chain 154 13.8 % 162 14.5 % 951 20.0 % 216 19.5 % 239 20.1 % 242 20.1 % 254 20.1 % Other Activities (1) (86 ) (90 ) (469 ) (113 ) (93 ) (130 ) (133 ) Total 233 9.2 % 168 7.0 % (709 ) (6.9 )% (1,417 ) (60.1 )% 248 9.4 % 250 9.4 % 210 8.0 % Less: Net Earnings (Loss) Attributable to NCI for Engineered Materials 1 2 (1 ) 2 2 (4 ) (1 ) Less: Net Earnings (Loss) Attributable to NCI for Acetyl Chain 2 2 9 1 2 2 4 Operating Profit (Loss) Attributable to Celanese Corporation 230 9.1 % 164 6.9 % (717 ) (7.0 )% (1,420 ) (60.2 )% 244 9.2 % 252 9.5 % 207 7.9 % Operating Profit (Loss) / Operating Margin Attributable to Celanese Corporation Engineered Materials 164 11.4 % 94 7.3 % (1,190 ) (21.3 )% (1,522 ) (119.9 )% 100 6.8 % 142 9.7 % 90 6.5 % Acetyl Chain 152 13.6 % 160 14.3 % 942 19.8 % 215 19.4 % 237 19.9 % 240 20.0 % 250 19.8 % Other Activities (1) (86 ) (90 ) (469 ) (113 ) (93 ) (130 ) (133 ) Total 230 9.1 % 164 6.9 % (717 ) (7.0 )% (1,420 ) (60.2 )% 244 9.2 % 252 9.5 % 207 7.9 % Equity Earnings and Dividend Income, Other Income (Expense) Attributable to Celanese Corporation Engineered Materials 25 17 178 33 46 49 50 Acetyl Chain 43 3 138 35 34 33 36 Other Activities (1) 3 5 48 4 16 13 15 Total 71 25 364 72 96 95 101 Non-Operating Pension and Other Post-Retirement Employee Benefit (Expense) Income Attributable to Celanese Corporation Engineered Materials — — 8 8 — — — Acetyl Chain — — — — — — — Other Activities (1) 1 2 (28 ) (35 ) 3 2 2 Total 1 2 (20 ) (27 ) 3 2 2 Certain Items Attributable to Celanese Corporation (Table 8) Engineered Materials 25 15 1,851 1,625 91 74 61 Acetyl Chain 1 5 22 3 5 4 10 Other Activities (1) 16 23 136 68 18 24 26 Total 42 43 2,009 1,696 114 102 97 Adjusted EBIT / Adjusted EBIT Margin Engineered Materials 214 14.8 % 126 9.8 % 847 15.1 % 144 11.3 % 237 16.0 % 265 18.1 % 201 14.6 % Acetyl Chain 196 17.6 % 168 15.1 % 1,102 23.1 % 253 22.8 % 276 23.2 % 277 23.0 % 296 23.5 % Other Activities (1) (66 ) (60 ) (313 ) (76 ) (56 ) (91 ) (90 ) Total 344 13.6 % 234 9.8 % 1,636 15.9 % 321 13.6 % 457 17.3 % 451 17.0 % 407 15.6 % Expand ___________________________ (1) Other Activities includes corporate SG&A expenses, results of captive insurance companies and certain components of net periodic benefit cost (interest cost, expected return on plan assets and net actuarial gains and losses). Expand Table 2 Supplemental Segment Data and Reconciliation of Segment Adjusted EBIT and Operating EBITDA - Non-GAAP Measures - Unaudited (cont.) Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 (In $ millions, except percentages) Depreciation and Amortization Expense (1) Acetyl Chain 64 61 244 63 63 61 57 Other Activities (2) 12 10 47 7 13 10 17 Total 188 180 728 184 187 181 176 Operating EBITDA / Operating EBITDA Margin Engineered Materials 326 22.6 % 235 18.3 % 1,284 22.9 % 258 20.3 % 348 23.5 % 375 25.6 % 303 22.0 % Acetyl Chain 260 23.3 % 229 20.5 % 1,346 28.3 % 316 28.5 % 339 28.5 % 338 28.1 % 353 28.0 % Other Activities (2) (54 ) (50 ) (266 ) (69 ) (43 ) (81 ) (73 ) Total 532 21.0 % 414 17.3 % 2,364 23.0 % 505 21.4 % 644 24.3 % 632 23.8 % 583 22.3 % Expand ___________________________ (1) Excludes accelerated depreciation and amortization expense, which amounts are included in Certain Items above. See Table 1 for details. (2) Other Activities includes corporate SG&A expenses, results of captive insurance companies and certain components of net periodic benefit cost (interest cost, expected return on plan assets and net actuarial gains and losses). Expand Table 3 Adjusted Earnings (Loss) per Share - Reconciliation of a Non-GAAP Measure - Unaudited Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 per share per share per share per share per share per share per share (In $ millions, except per share data) Income tax provision (benefit) (77 ) 9 507 384 61 29 33 Earnings (loss) from continuing operations before tax 132 (7 ) (1,016 ) (1,534 ) 179 185 154 Certain Items attributable to Celanese Corporation (Table 8) 42 43 2,009 1,696 114 102 97 Refinancing and related expenses — 32 — — — — — Adjusted earnings (loss) from continuing operations before tax 174 68 993 162 293 287 251 Income tax (provision) benefit on adjusted earnings (1) (16 ) (6 ) (89 ) (14 ) (26 ) (26 ) (23 ) Adjusted earnings (loss) from continuing operations (2) 158 1.44 62 0.57 904 8.27 148 1.35 267 2.44 261 2.38 228 2.08 Diluted shares (in millions) (3) Weighted average shares outstanding 109.5 109.4 109.3 109.4 109.3 109.3 109.1 Incremental shares attributable to equity awards 0.2 — — — 0.2 0.2 0.4 Total diluted shares 109.7 109.4 109.3 109.4 109.5 109.5 109.5 ______________________________ (1) Calculated using adjusted effective tax rates (Table 3a) as follows: Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 Adjusted effective tax rate 9 9 9 9 9 9 9 (2) Excludes the immediate recognition of actuarial gains and losses and the impact of actual vs. expected plan asset returns. Expand Actual Plan Asset Returns Expected Plan Asset Returns (In percentages) 2024 2.5 5.3 Expand (3) Potentially dilutive shares are included in the adjusted earnings per share calculation when adjusted earnings are positive. Expand Table 3a Adjusted Tax Rate - Reconciliation of a Non-GAAP Measure - Unaudited ______________________________ Note: As part of the year-end reconciliation, we will update the reconciliation of the GAAP effective tax rate for actual results. (1) Such as changes in tax laws (including US tax reform), deferred taxes on outside basis differences, changes in uncertain tax positions and prior year audit adjustments. (2) Reflects the tax impact on pre-tax adjustments presented in Certain Items (Table 8), which are excluded from pre-tax income for adjusted earnings per share purposes. (3) Reflects changes in valuation allowances related to changes in judgment regarding the realizability of deferred tax assets or current year operations, excluding other charges and adjustments. (4) Includes tax impacts related to full-year actual tax opportunities and related costs, as well as current year realization of U.S. GAAP benefits deferred in prior years. Expand Table 4 Net Sales by Segment - Unaudited Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 (In $ millions) Engineered Materials 1,442 1,287 5,595 1,269 1,481 1,467 1,378 Acetyl Chain 1,115 1,116 4,763 1,110 1,190 1,202 1,261 Intersegment eliminations (1) (25 ) (14 ) (90 ) (21 ) (23 ) (18 ) (28 ) Net sales 2,532 2,389 10,268 2,358 2,648 2,651 2,611 Expand ___________________________ (1) Includes intersegment sales primarily related to the Acetyl Chain. Expand Table 4a Factors Affecting Segment Net Sales Sequentially - Unaudited T hree Months Ended June 30, 2025 Compared to Three Months Ended March 31, 2025 Volume Price Currency Total (In percentages) Engineered Materials 9 — 3 12 Acetyl Chain (1 ) (2 ) 3 — Total Company 4 (1 ) 3 6 Expand Three Months Ended March 31, 2025 Compared to Three Months Ended December 31, 2024 Volume Price Currency Total (In percentages) Engineered Materials — 2 (1 ) 1 Acetyl Chain 3 (1 ) (1 ) 1 Total Company 2 — (1 ) 1 Expand Three Months Ended December 31, 2024 Compared to Three Months Ended September 30, 2024 Volume Price Currency Total (In percentages) Engineered Materials (10 ) (3 ) (1 ) (14 ) Acetyl Chain (4 ) (2 ) (1 ) (7 ) Total Company (7 ) (3 ) (1 ) (11 ) Expand Three Months Ended September 30, 2024 Compared to Three Months Ended June 30, 2024 Volume Price Currency Total (In percentages) Engineered Materials — — 1 1 Acetyl Chain — (2 ) 1 (1 ) Total Company — (1 ) 1 — Expand Volume Price Currency Total (In percentages) Engineered Materials 7 — (1 ) 6 Acetyl Chain (1 ) (4 ) — (5 ) Total Company 4 (2 ) — 2 Expand Three Months Ended March 31, 2024 Compared to Three Months Ended December 31, 2023 Volume Price Currency Total (In percentages) Engineered Materials (1 ) — — (1 ) Total Company 1 1 — 2 Expand Table 4b Factors Affecting Segment Net Sales Year Over Year - Unaudited T hree Months Ended June 30, 2025 Compared to Three Months Ended June 30, 2024 Volume Price Currency Total (In percentages) Engineered Materials (3 ) (1 ) 2 (2 ) Acetyl Chain (2 ) (7 ) 2 (7 ) Total Company (2 ) (4 ) 2 (4 ) Expand Three Months Ended March 31, 2025 Compared to Three Months Ended March 31, 2024 Volume Price Currency Total (In percentages) Engineered Materials (4 ) (2 ) (1 ) (7 ) Acetyl Chain (6 ) (4 ) (1 ) (11 ) Total Company (5 ) (3 ) (1 ) (9 ) Expand Three Months Ended December 31, 2024 Compared to Three Months Ended December 31, 2023 Volume Price Currency Total (In percentages) Engineered Materials (6 ) (3 ) — (9 ) Acetyl Chain (2 ) (4 ) — (6 ) Total Company (4 ) (4 ) — (8 ) Expand Three Months Ended September 30, 2024 Compared to Three Months Ended September 30, 2023 Volume Price Currency Total (In percentages) Engineered Materials (1 ) (2 ) — (3 ) Acetyl Chain 1 (3 ) — (2 ) Total Company — (3 ) — (3 ) Expand Three Months Ended June 30, 2024 Compared to Three Months Ended June 30, 2023 Volume Price Currency Total (In percentages) Engineered Materials (2 ) (4 ) (1 ) (7 ) Acetyl Chain 4 (6 ) (1 ) (3 ) Total Company 1 (5 ) (1 ) (5 ) Expand Three Months Ended March 31, 2024 Compared to Three Months Ended March 31, 2023 Volume Price Currency Total (In percentages) Engineered Materials (12 ) (2 ) (1 ) (15 ) Acetyl Chain 11 (10 ) — 1 Total Company (2 ) (5 ) (1 ) (8 ) Expand Table 4c Factors Affecting Segment Net Sales Year Over Year - Unaudited Y ear Ended December 31, 2024 Compared to Year Ended December 31, 2023 Volume Price Currency Total (In percentages) Engineered Materials (5 ) (3 ) (1 ) (9 ) Acetyl Chain 4 (6 ) — (2 ) Total Company (1 ) (4 ) (1 ) (6 ) Expand Table 5 Free Cash Flow - Reconciliation of a Non-GAAP Measure - Unaudited Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 (In $ millions, except percentages) Net cash provided by (used in) investing activities (88 ) (98 ) (470 ) (128 ) (100 ) (91 ) (151 ) Net cash provided by (used in) financing activities (116 ) 45 (1,313 ) (189 ) (376 ) (489 ) (259 ) Net cash provided by (used in) operating activities 410 37 966 494 79 292 101 Capital expenditures on property, plant and equipment (93 ) (102 ) (435 ) (105 ) (88 ) (105 ) (137 ) Contributions from/(Distributions) to NCI (6 ) (8 ) (33 ) (8 ) (7 ) (14 ) (4 ) Free cash flow (1) 311 (73 ) 498 381 (16 ) 173 (40 ) Net sales 2,532 2,389 10,268 2,358 2,648 2,651 2,611 Free cash flow as % of Net sales 12.3 % (3.1 )% 4.9 % 16.2 % (0.6 )% 6.5 % (1.5 )% Expand ______________________________ (1) Free cash flow is a liquidity measure used by the Company and is defined by the Company as net cash provided by (used in) operating activities, less capital expenditures on property, plant and equipment, and adjusted for contributions from or distributions to our NCI joint ventures. Expand Table 6 Cash Dividends Received - Unaudited Table 7 Net Debt - Reconciliation of a Non-GAAP Measure - Unaudited Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 (In $ millions) Short-term borrowings and current installments of long-term debt - third party and affiliates 252 406 1,501 1,501 1,607 1,977 2,439 Long-term debt, net of unamortized deferred financing costs 12,689 12,378 11,078 11,078 11,324 11,058 11,018 Total debt 12,941 12,784 12,579 12,579 12,931 13,035 13,457 Cash and cash equivalents (1,173 ) (951 ) (962 ) (962 ) (813 ) (1,185 ) (1,483 ) Net debt 11,768 11,833 11,617 11,617 12,118 11,850 11,974 Expand Table 8 Certain Items - Unaudited The following Certain Items attributable to Celanese Corporation are included in Net earnings (loss) and are adjustments to non-GAAP measures: Q2 '25 Q1 '25 2024 Q4 '24 Q3 '24 Q2 '24 Q1 '24 Income Statement Classification (In $ millions) Exit and shutdown costs 27 32 236 47 52 69 68 Cost of sales / SG&A / Other (charges) gains, net / Gain (loss) on disposition of businesses and assets, net / Non-operating pension and other postretirement employee benefit (expense) income Asset impairments — — 1,638 1,601 (1) 34 (2) 3 — Cost of sales / Other (charges) gains, net Impact from plant incidents and natural disasters — 3 13 3 3 — 7 Cost of sales Mergers, acquisitions and dispositions 12 5 80 12 17 26 25 Cost of sales / SG&A Actuarial (gain) loss on pension and postretirement plans — — 27 27 — — — Cost of sales / SG&A / Non-operating pension and other postretirement employee benefit (expense) income Legal settlements and commercial disputes 2 3 8 6 7 3 (8) Cost of sales / SG&A / Other (charges) gains, net (Gain) loss on disposition of businesses and assets — — 2 — 1 1 — Gain (loss) on disposition of businesses and assets, net Other 1 — 5 — — — 5 Cost of sales / SG&A Certain Items attributable to Celanese Corporation 42 43 2,009 1,696 114 102 97 Expand Table 9 Return on Invested Capital (Adjusted) - Presentation of a Non-GAAP Measure - Unaudited
